AMP Limited (AMP) has recorded a 3.1 per cent rise in underlying profit to $955 million for the year to December 2012, just below Morningstar's forecast.

The financial services company declared a final dividend of 12.5 cents a share, flat on the previous corresponding period. The payment is 65 per cent franked, with the unfranked amount being declared conduit foreign income, the company said.

This took full-year dividends to 25 cents a share, franked at 60 per cent and down 13.8 per cent on the previous corresponding period.

Morningstar head of financial services Asia Pacific, David Ellis, said the flat dividends were due to market conditions, growth in capital-intensive businesses, and regulatory changes.

The dividend results in a payout ratio of 76 per cent of underlying profit for the full year and is within the target payout range of 70 to 80 per cent of underlying profit, AMP said.

Operating earnings in the wealth protection business fell 11.6 per cent to $190 million due to poor claims and lapse experience.